A former community bank president was sentenced to two-and-a-half years in prison by a New York judge on Thursday, becoming the first person to be convicted of attempting to rip off the federal bailout programme that followed the financial crisis.
Charles Antonucci Sr, who cooperated with the government investigation, was president of the Park Avenue Bank in Manhattan before his arrest for bank bribery, self-dealing, embezzlement of bank funds and a failed attempt to defraud the Troubled Asset Relief Programme (TARP) of $11 million. Prosecutors also said he took part in a $37.5 million fraud of an Oklahoma insurance company. The court ordered him to pay $54 million in restitution and also forfeit $11 million.
Discover trumps American Express for customer satisfaction
After nine years at the top, American Express has finally been dethroned in JD Power's credit card customer satisfaction rating as Discover Financial Services took the top spot for the first time in the survey's history.
Amex dropped to second place having tied for first with Discover last year.
RBI to announce small finance bank licences in September
Fresh from granting approval for 11 payments banks, the Reserve Bank of India (RBI) has said it will announce small finance bank licences in September as it continues its thrust for financial inclusion.
The RBI has received 72 applications for small finance bank licences. Unlike the payments banks, which cannot offer loans, small finance banks will be able to lend to unbanked small farmers, microbusiness enterprises and micro and small industries, among others.
ABN Amro's profit rises 86%, prepares for offering
Nationalised Dutch lender ABN Amro, which is preparing for an IPO, has reported its most profitable quarter since 2010.
Underlying net income almost doubled to €600 million ($677 million) in the second quarter from €322 million for the same period in 2014. The Dutch government formed ABN Amro after it took over the Dutch banking and insurance units of Belgium's Fortis Bank.
Meanwhile, Rabobank has reported a 41 percent higher net profit for the first half of 2015, on the back of the Dutch economy rebounding and a steep fall in provisions for bad loans.
Barclays to face US class action over Libor
A court in Manhattan has said that Barclays shareholders who accused the British bank in a lawsuit of inflating its stock price by manipulating the Libor rate may pursue their case as a class action.
District Judge Shira Scheindlin said the shareholders' claims were similar enough to justify suing as a group. However, she said they faced significant obstacles if they are to prove damages, including whether any stock price inflation had dissipated once Barclays started reporting Libor accurately.
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